Bank of Ghana Governor Dr Johnson Pandit Asiama says borrowing costs in Ghana’s banking sector continued to decline, with the average lending rate falling from 24.2% in August 2025 to 15.9% in August 2026.
According to Dr Asiama, the decline in lending rates is creating a better environment for businesses and households seeking credit, while reflecting the continued transmission of improved macroeconomic and monetary conditions through the banking sector.
He made the remarks in a post on his Facebook page following the 132nd Monetary Policy Committee (MPC) press conference held in Accra on Thursday, September 24.
“The banking sector remains solvent, profitable, and liquid, alongside improving asset quality,” Dr Asiama said.
He noted that total assets of the banking sector increased by 20.5% year-on-year to GH¢500.2 billion in August 2026, supported by strong deposit mobilisation and growth in other funding sources.
The sector’s Capital Adequacy Ratio also improved from 18.3% in August 2025 to 19.1% in August 2026, indicating stronger capital buffers across the banking system.
Asset quality also recorded an improvement, with the Non-Performing Loan (NPL) ratio declining from 20.8% to 15.7% over the same period.
Dr Asiama, however, said credit risk remained elevated despite the improvement and urged banks to continue adhering to NPL guidelines to strengthen confidence in the financial system.
He also said private sector credit growth had rebounded, supporting the broader recovery in lending activity.
The MPC, at its 132nd meeting, maintained the policy rate at 14% as the central bank continued to assess developments in inflation, economic growth, credit conditions and financial-sector stability.
